Constitution (Ninety Seventh Amendment) Act 2011 relating to the Co-operatives was enacted to encourage economic activities of Cooperatives which in turn help progress of rural India. It is expected to not only ensure autonomous and democratic functioning of Cooperatives, but also the accountability of the management to the members and other Stakeholders.

The Major features of the Act are as follows:

1. Incorporation, regulation and winding up of cooperative Societies based on the principles of Voluntary formation, democratic member Control, member economic participation and autonomous functioning;
2. Specifying the maximum number of directors of a Co-operatives Society to be not exceeding twenty-one members;
3. A fixed term of five years from the date of election in respect of the elected members of the board and its office bearers; and an authority or body for the Conduct of elections to a Cooperative Society;
4. A maximum time limit of Six months during which board of directors of a Co-operative Society Could be kept under Supersession or suspension;
5. Independent professional audit;
6. right of information to the members of the Co-operative Societies;
7. Empowering the State Governments to obtain periodic reports of activities and accounts of Co-operatives Societies;
8. reservation of one seat for the Scheduled Castes or the Scheduled Tribes and two Seats for women on the board of every Cooperative Society, which have individuals as members from Such Categories ; and
9. Penalties in respect of offences relating to Co-Operatives Societies.

The Scheduled and tribal Areas

Article 244 in Part X of the Constitution envisages a special System of administration for Scheduled and tribal areas.
1. Article 244 (1) provides that the provisions of the fifth Schedule shall apply to the administration and Control of the Scheduled areas and Scheduled tribes in any State other than the States of Assam, Meghalaya, Tripura and Mizoram.
2. Article 244(2) provides that the provisions of the Sixth Schedule Shall apply to the administration of the tribal areas in the State of Assam, Meghalaya, Tripura and Mizoram.

Fifth Schedule – Administration of Scheduled Areas

The Various Provisions of administration of Scheduled Areas Contained in the Fifth Schedule are:
1. The executive power of a State extends to the Scheduled areas therein.
2. The Governor of each State having Scheduled areas therein has to submit a report to the President annually or whenever so required by the President. The executive power of the Union extends to giving directions to the State regarding the administration of such areas.
3. A Tribal Advisory Council Consisting of Not more than 20 members +should be established in each State having Scheduled areas therein. The tribal advisory council will advise on matters related to the Welfare and advancement of the Scheduled tribes.
4. The Governor is empowered to direct that any particular act of Parliament or the State Legislature does not apply to a Scheduled area or apply with Specific modifications and exceptions.
5. The Governor can also make regulations for the peace and good government of any Scheduled area in a State after Consulting with the tribal advisory Council.

The Constitution provides for the appointment of a Commission to report on the administration of the Scheduled areas and the Welfare of the Scheduled tribes in the States. He Can appoint such a Commission at any time but Compulsory after ten years from the Commencement of the Constitution [Article 339(1)]. The first Commission was thus appointed in 1960 under the Chairmanship of U.N. Dhebar. The Second Commission was appointed in 2002 under the Chairmanship of Dilip Singh Bhuria.

Sixth Schedule – Administration of Tribal Areas

The Various Provisions of administration of Tribal Areas Contained in the South Schedule are:
1. The tribal areas in the States of Assam, Meghalaya, Tripura and Mizoram have been Constituted as autonomous districts. But they do not fall outside the executive authority of the State Concerned.
2. The President may at any time by order direct that the Whole or any specified part of a Scheduled area shall Cease to be a Scheduled area or a part of Such an area; increase the area of any Scheduled area in a State after Consultation with the Governor of that State.
3. If there are different tribes in an autonomous district, the governor can divide the district in to several autonomous regions.
4. Each autonomous district has a District Council Consisting of 30 members. Each autonomous
5. The district and regional Councils are empowered to assess and Collect land revenue and to impose Certain Specified taxes.
6. The Governor Can appoint a Commission to examine and report on any matter relating to the administration of the autonomous districts or regions. He may dissolve a district or regional Council on the recommendation of the Commission.

Tribal Areas in the States

• Assam – North Cachar Hills District; Karbi Anglong District; Bodoland Territorial Areas District

• Meghalaya – Khasi Hills District; Jaintia Hills District; Garo Hills District

• Tripura – Tripura Tribal Areas District

• Mizoram – Chakma District; Mara District; Lai District

Local Self – Government for Scheduled Areas

Most of the tribes in India are Collectively identified under Article 342 (1) and (2) of the Constitution as Scheduled Tribes. Article 244 (Administration of Scheduled Areas and Tribal Areas) of Part X of the Constitution grants them overarching immunity to the extent of substantial right to Self-determination. While the Sixth Schedule, applicable in Assam, Meghalaya, Tripura and Mizoram, gives tribal people freedom to exercise legislative and executive powers through an Autonomous Regional Council and an Autonomous District Council, the Fifth Schedule, applicable in all the other identified tribal regions, guarantees tribal autonomy and tribal rights over land through Tribal Advisory Council in each State. Because of the autonomy guaranteed by the Constitution, the laws passed by the parliament and the State legislatures do not apply to these Scheduled Areas, unless specifically provided for.

The Provisions of autonomy to Fifth Schedule areas have had little impact on development of tribals. The Tribals. The Tribal Advisory Councils are either non-existent in many States or are defunct and dysfunctional. In View of such a situation, When the government passed the 73rd and 74th Constitutional Amendment Acts, 1992, the provisions of local self-government were not applicable to Scheduled Areas. Article 243M and the Tribal areas as mentioned under Article 244. So, While village level democracy became a real prospect in other areas, the Fifth Schedule nareas. It Suggested the Village-level gram Sabha will exercise Command over natural resources, resolve disputes and manage institutions Such as Schools and Cooperatives under it. Above will be a gram panchayat, an elected body of representatives of each gram Sabha, also to function as an appellate authority for unresolved disputes at the lower level. At the of it Will be a block-or taluka-level body.

Bhuria Committee

Before enactment of PESA, the Bhuria Committee in 1995 formulated as three-tier Structure to extend the Panchayati Raj functions in the Scheduled areas. It Suggested that the Village-level gram Sabha Will exercise Command over natural resources, resolve disputes and manage institutions Such as Schools and Cooperatives under it. Above it will be a gram Panchayat, an elected body of representatives of each gram Sabha, also to function as an appellate authority for unresolved disputes at the lower level. At the top of it will be a block-or taluka-level body.

The Panchayats (Extension to the Scheduled Areas) Act, 1996

Since the laws do not automatically Cover the Scheduled Areas, the PESA Act was enacted on 24th December, 1996 to enable Tribal Self Rule in these areas. The Act extended the provisions of Part IX of the Constitution relating to Panchayat to the tribal areas in the Fifth Schedule areas as referred to in Clause (1) of Article 244 of the Constitution. The nine States with Fifth Schedule areas are : Andhra Pradesh Chhattisgarh, Gujarat, Himachal Pradesh, Jharkhand, Maharashtra, Madhya Pradesh Orissa and Rajasthan. Most of the North eastern States under Sixth Schedule Areas are not Covered by PESA, as these States have their own Autonomous Councils governance.

Important features of PESA

1. The State legislation on the Panchayats that may be made shall be Consonance with the Customary law, social and religious practices and traditional management practices of Community resources;
2. Every Gram Sabha Shall be Competent to Safeguard and preserve the traditions and Customs of the people, their Cultural identity, Community resources and the Customary mode of dispute resolution;
3. Every Gram Sabha has been made responsible for planning and implementation of Social and economic development programmes as Panchayati Raj System envisages.
4. The Gram Sabha or the Panchayats at the appropriate level shall be Consulted before making the acquisition of land in the Scheduled Areas for development projects and before re-setting or rehabilitating persons affected by Such projects in the Scheduled Areas; the actual planning and implementation of the projects in the Scheduled Areas Shall be Coordinated at the State level;
5. Prior recommendation of the Gram Sabha or the Panchayats at the appropriate level shall be made mandatory for grant of prospecting license, mining lease or Concession for the exploitation of minor minerals by auction;
6. Planning and management of minor water bodies in the Scheduled areas shall be entrusted to Panchayats at the appropriate level;

While endowing Panchayats in the Scheduled areas with Such powers and authority as may be necessary to enable them to them to function as institutions of Self-government, a State Legislature Shall ensure that the Panchayats at the appropriate level and the Gram Sabha are endowed specifically with:-
a. the power to enforce prohibition or to regulate or restrict the Sale and Consumption of any intoxicant;
b. the ownership of minor forest produce;
c. the power to manage village markets by Whatever name Called;
d. the power to prevent alienation of land in the Scheduled Areas and to take appropriate action to restore any unlawfully alienated land of a Scheduled Tribe:
e. the power to exercise Control over money lending to the Scheduled Tribes;
f. the power to Control over local plans and resources for Such plans including Tribal Sub-Plans.
g. the power to control over local plans and resources for such plans including Tribal Sub-Plans;